Are you interested in learning how to market yourself as a private money lender? If you are in real estate investing or want to be, there are many ways to make money.
It is a difficult industry to achieve success in, but determination and the proper use of your resources are the best tools you have.
Common Ways to Make Money Investing in Real Estate
While renting out properties and flipping houses are common ways to generate income in real estate, it’s essential to diversify your business model for increased chances of success. Have you considered private money lending as another lucrative opportunity? By loaning your funds to fellow investors for property acquisitions, you can not only earn better returns than traditional investments but also create an additional income stream, crucial for long-term success in the industry.
How to Market Yourself as a Private Money Lender
If you are getting into private money lending in your real estate investing business, you will want to consider the following tips and techniques to better market your services.
Talk to other real estate investors. When trying to market yourself as a private money lender in the real estate circles, you’ll need to get to know other investors. This not only opens the door to opportunities regarding selling to (or buying from) some of these investors in the future, but it also gives you valuable insight into how they are succeeding in their business. Many investors are not private money lenders, but some are. Learn the ins and outs of the business by bending the ear of seasoned real estate investors and market your services to them at the same time.
Put up a website. If you are wanting to strike out on your own and build a brand for private money lending, you’ll need to build your own website. It really doesn’t matter which web hosting solution you use, as long as you end up with a professional-looking site. Include a logo for your business to give it an added professional touch. You can include a form on your website to collect prospect names and email addresses. You’ll also want to tap into the power of social media by creating targeted Facebook ads and writing posts as often as possible to let people know what you do and how to contact you.
Place an ad. A popular avenue to make deals in the real estate business is to place classified ads in online communities and traditional newspapers. Well, the same is true when you are trying to market yourself as a private money lender. Placing an ad stating that you are offering “alternative forms of real estate investment funding” is a good way to start. This tells potential investors that you offer other ways to get a loan for investing than a traditional bank or credit union. One of the best places to start marketing yourself as a private money lender on Craigslist.
Create an E-Book to Generate Leads. Are you a skilled writer with knowledge in a real estate investing niche? Crafting a concise E-Book on a relevant topic can be a powerful lead generation tool. In the E-Book, include links to your private money lending website and social media profiles. Address topics that appeal to your target audience and offer the E-Book as a free download on your site in exchange for visitor’s email addresses. It’s an effective strategy to attract leads for your private money lending venture.
Get to know the real estate agents in your area. You may think of real estate agents as your competitors. But they can actually do you a big favor and contribute to your marketing efforts. Just give them your business card and tell them to refer customers to you who cannot afford traditional financing. You’ll be surprised how well you can work with “your competitors!” Make sure to let them know to pass along the benefits of using a private money lender versus more traditional lenders.
Know Your Target Market
These are just a few tips and tricks that you may want to try when learning how to market yourself as a private money lender. There is no right or wrong way to do it, so long as you learn who your target audience is and find out where they may see your marketing efforts. Test as many marketing channels as you can and then do more of what works.
If you need to know more about how to market yourself as a private money lender, give us a call at 984.368.4500 or fill out the form and we’ll get in touch with you soon. You can also access this report on private money lending for free